Shiba Inu burn rate surges 5,440% – Traders look forward to a rally

• SHIB USDT 1-hour chart reflected a bullish setup, with price rebounding from a strong support level at $0.012833.
• SHIB’s bullish outlook gained support from several converging factors.

Shiba Inu [SHIB] has continued to attract trader interest, with market signals hinting at a potential price recovery.

The token, known for its community-driven initiatives, has seen notable movements that indicate a shift in momentum.

Recent price trends, technical setups, and changes in market positioning have aligned, setting the stage for what could be a significant rebound.

Recently, SHIB’s burn rate surged by an astonishing 5,440%, leading to the removal of millions of tokens from circulation.

This drastic cut in supply fueled excitement among holders, increasing scarcity and applying upward pressure on price.

The burn, an effort led by the community, not only reduced circulating tokens but also reinforced expectations of stronger demand.

As SHIB hovered around $0.012834, traders grew more optimistic about a possible breakout, with the potential to reach higher price targets in the near term.

SHIB price movements and market setup

The SHIBUSDT 1-hour chart reflected a bullish setup, with price rebounding from a strong support level at $0.012833.

This level aligned closely with the 100% Fibonacci retracement of $0.012723, reinforcing its importance.

Source: Coinglass

The next target stood at $0.013014 (61.8% Fibonacci), which seemed achievable, especially with the RSI at 33.87—indicating oversold conditions.

A breakout above $0.012927 (78.6% Fibonacci) could act as a launchpad, pushing SHIB toward $0.013150. Also, aligning with the 26 EMA, this scenario suggested an emerging uptrend, provided buyers maintained momentum.

SHIB long and short positions

Moreover, the Long/Short Ratio stood at 2.7940, signaling that long positions significantly outnumbered short ones. This data indicated rising confidence among traders regarding SHIB’s price movement.

Source: Coinglass

Trading at $0.01287, down 0.53% within the hour, the sentiment remained consistent with the support level at $0.012833.

The combination of trader sentiment and market indicators supported the possibility of an extended rally toward $0.013150, showing that bullish sentiment had firm ground.

Market confirmation of the rebound

Further strengthening this outlook, the Bid/Ask volume imbalance stood at 144.048M vs. -109.632M, revealing a preference for buying.

Open Interest increased from $38.515M to $38.578M, highlighting growing interest at current price levels.

The rising Open Interest and a Long/Short Ratio of 2.7940 reinforced the bullish case. These signals pointed toward a move beyond $0.013014, potentially testing higher levels if demand remained steady.

Source: Coinglass

SHIB’s bullish outlook gained support from several converging factors. A 5,440% burn rate significantly reduced supply, while firm technical levels at $0.012833 provided a stable foundation for further gains.

The bullish Long/Short Ratio and strong buyer activity suggested that traders remained optimistic about an upward push.

As of the 8th of March, market conditions supported a positive trajectory, making SHIB an asset to watch in the evolving crypto landscape.